Z Squared Advances Debt-Free Arkansas AI Campus as Build-Out Bottlenecks Constrain Major Markets

Z Squared Inc. capitalizes on zero legacy debt to scale a 100 MW digital infrastructure footprint while tight credit markets constrain competing high-density data center developments

FORT LAUDERDALE, Fla., Nov. 5, 2026 /PRNewswire/ -- Z Squared Inc. (Nasdaq: ZSQR) ("Z Squared" or the "Company") today said that as AI infrastructure projects face growing political, regulatory, and financing headwinds in major markets, demand for capacity is not going away. It is looking for places it can still be built. Z Squared believes its Union County Campus in El Dorado, Arkansas, served by existing utility power in a state open to infrastructure investment, is positioned to benefit.

Data center projects in several markets face new political and regulatory scrutiny over permitting, power use, and who pays for grid upgrades. At the same time, tighter debt markets are raising the cost of financing new capacity. Developers carrying legacy debt are exposed to both.

Z Squared carries no legacy debt. Its Union County Campus is served by Entergy Arkansas under an existing electric service agreement for up to approximately 8 MW on an interruptible basis, which the Company is working to transition into its name, and its development plan targets up to approximately 150 MW of AI-ready capacity over time.

"Where you build is now just as important as what you build," said David Halabu, Chief Executive Officer of Z Squared. "While other markets are anticipated to slow down, we have existing power in a business friendly state that wants this investment and a balance sheet with no legacy debt. Our next milestones are clear: complete the transition of our power service, sign our first tenant, and add capacity step by step. Our shareholders will see us report against each of those milestones as we reach them."

About Z Squared Inc.

Z Squared Inc. (Nasdaq: ZSQR) is a computing infrastructure company that operates advanced computing equipment and is expanding into AI infrastructure. The Company's approach rests on three principles: lead with power, build for AI workloads, and scale with discipline. More information is available at www.zsquaredinc.com.

Investor Relations Contact: ir@zsquaredinc.com 

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements other than statements of historical fact and may be identified by words such as "anticipate," "believe," "designed," "estimate," "expect," "goal," "intend," "may," "plan," "position," "seek," "should," "strategy," "target," "will," and similar expressions. Forward-looking statements in this press release include, among others, statements regarding the Company's development plan for the Union County Campus and the targeted AI-ready capacity at that site; the expected transition of electric service at the Union County Campus into the Company's name; the Company's Phase 1 target of 100 MW of AI-ready capacity across multiple U.S. sites; the Company's expectations regarding demand for AI capacity and political, regulatory, and credit-market conditions affecting data center development; the Company's ability to sign tenants and to add capacity over time; and the anticipated benefits of the Company's balance sheet and site positioning.

Forward-looking statements are based on management's current expectations and assumptions and are subject to risks and uncertainties, many of which are outside the Company's control, that could cause actual results to differ materially from those expressed or implied. These risks and uncertainties include, among others: the Company's ability to continue as a going concern and to obtain the financing necessary to fund its operations and growth strategy; the Company's ability to execute its strategy to expand into AI, high-density compute, data center, and power generation infrastructure; the Company's ability to complete the transition of electric service at the Union County Campus into its name and to obtain the additional power arrangements, tenant commitments, financing, permits, and construction resources necessary to develop capacity at its sites, including capacity substantially in excess of the approximately 8 MW of interruptible service currently available at the Union County Campus; the Company's limited operating history in AI infrastructure and data center development; the Company's ability to complete, finance, and integrate acquisitions, including the integration of Paradox Data, LLC; volatility in the prices of Dogecoin and Litecoin and the profitability of the Company's digital-asset mining operations; the Company's reliance on a single third-party provider for the hosting and operation of its digital-asset mining fleet; the Company's dependence on key personnel; political, regulatory, and credit-market developments affecting data center development and the cost and availability of power; and the other risks and uncertainties described in the Company's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q, and its Current Reports on Form 8-K.

Forward-looking statements speak only as of the date of this press release. The Company undertakes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as may be required by applicable law.

SOURCE Z Squared Inc.